CHARLOTTE — Charlotte-headquartered Greenland Mines Ltd. has completed a $35 million acquisition that gives the Nasdaq-listed company control of the Sarfartoq rare-earth project in southwest Greenland.
The transaction closed Sept. 1 after approval from the Government of Greenland, according to seller Neo Performance Materials and a Sept. 19 report by the New York Post.
Neo said the total consideration consisted of $20 million in cash and $15 million in Greenland Mines shares. The transaction transferred all outstanding shares of NNSR Holdings Inc. and its Neo North Star Resources subsidiary to Greenland Mines through a merger.
Neo held 43.47% of NNSR Holdings before the closing. The Toronto-based materials company retained an equity stake in Greenland Mines and offtake rights for as much as 60% of any ore or mineral concentrate produced from Sarfartoq.
Sarfartoq is an exploration-stage project, not an operating mine. Greenland Mines says it plans to develop neodymium-praseodymium oxide, a material used in permanent magnets for electric vehicles, wind turbines and defense systems. The New York Post reported that the company expects planned output to equal about one-third of the amount refined outside China. That figure is a company projection, not current production.
The New York Post independently reported that Greenland Mines is headquartered in North Carolina and had completed the acquisition. The company’s official contact page lists its headquarters at 1300 South Boulevard in Charlotte.
The acquisition expands the asset base of a Charlotte-headquartered public company, but neither the company nor the transaction parties announced new North Carolina jobs or capital investment tied to the deal.
Featured image: Sarfartoq project terrain and field camp in western Greenland. File photograph. Credit: Greenland Mines Ltd.